Correlation Between Heineken Holding and EAT WELL
Can any of the company-specific risk be diversified away by investing in both Heineken Holding and EAT WELL at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Heineken Holding and EAT WELL into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Heineken Holding NV and EAT WELL INVESTMENT, you can compare the effects of market volatilities on Heineken Holding and EAT WELL and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Heineken Holding with a short position of EAT WELL. Check out your portfolio center. Please also check ongoing floating volatility patterns of Heineken Holding and EAT WELL.
Diversification Opportunities for Heineken Holding and EAT WELL
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Heineken and EAT is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Heineken Holding NV and EAT WELL INVESTMENT in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on EAT WELL INVESTMENT and Heineken Holding is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Heineken Holding NV are associated (or correlated) with EAT WELL. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of EAT WELL INVESTMENT has no effect on the direction of Heineken Holding i.e., Heineken Holding and EAT WELL go up and down completely randomly.
Pair Corralation between Heineken Holding and EAT WELL
If you would invest 11.00 in EAT WELL INVESTMENT on September 12, 2024 and sell it today you would earn a total of 0.00 from holding EAT WELL INVESTMENT or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 99.6% |
| Values | Daily Returns |
Heineken Holding NV vs. EAT WELL INVESTMENT
Performance |
| Timeline |
| Heineken Holding |
| EAT WELL INVESTMENT |
Heineken Holding and EAT WELL Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Heineken Holding and EAT WELL
The main advantage of trading using opposite Heineken Holding and EAT WELL positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Heineken Holding position performs unexpectedly, EAT WELL can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in EAT WELL will offset losses from the drop in EAT WELL's long position.| Heineken Holding vs. EAT WELL INVESTMENT | Heineken Holding vs. CapitaLand Investment Limited | Heineken Holding vs. Gladstone Investment | Heineken Holding vs. SYSTEMAIR AB |
| EAT WELL vs. Ameriprise Financial | EAT WELL vs. Ares Management Corp | EAT WELL vs. Superior Plus Corp | EAT WELL vs. SIVERS SEMICONDUCTORS AB |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Other Complementary Tools
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |